WallStSmart

Lloyds Banking Group PLC ADR (LYG)vsRoyal Bank of Canada (RY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Royal Bank of Canada generates 240% more annual revenue ($63.42B vs $18.63B). RY leads profitability with a 33.1% profit margin vs 25.0%. LYG appears more attractively valued with a PEG of 1.04. LYG earns a higher WallStSmart Score of 72/100 (B).

LYG

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 7.5Value: 6.3Quality: 4.3
Piotroski: 4/9

RY

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 5.7Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LYG6 strengths · Avg: 9.3/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
40.6%10/10

Strong operational efficiency at 40.6%

EPS GrowthGrowth
146.4%10/10

Earnings expanding 146.4% YoY

Market CapQuality
$78.04B9/10

Large-cap with strong market position

Profit MarginProfitability
25.0%9/10

Keeps 25 of every $100 in revenue as profit

P/E RatioValuation
14.4x8/10

Attractively priced relative to earnings

RY6 strengths · Avg: 9.3/10
Market CapQuality
$243.80B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
33.1%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
46.2%10/10

Strong operational efficiency at 46.2%

Free Cash FlowQuality
$37.30B10/10

Generating 37.3B in free cash flow

P/E RatioValuation
16.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Areas to Watch

LYG1 concerns · Avg: 3.0/10
Debt/EquityHealth
1.853/10

Elevated debt levels

RY1 concerns · Avg: 4.0/10
PEG RatioValuation
2.304/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : LYG

The strongest argument for LYG centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 25.0% and operating margin at 40.6%. Revenue growth of 14.4% demonstrates continued momentum.

Bull Case : RY

The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.1% and operating margin at 46.2%.

Bear Case : LYG

The primary concerns for LYG are Debt/Equity. Debt-to-equity of 1.85 is elevated, increasing financial risk.

Bear Case : RY

The primary concerns for RY are PEG Ratio.

Key Dynamics to Monitor

LYG carries more volatility with a beta of 0.94 — expect wider price swings.

LYG is growing revenue faster at 14.4% — sustainability is the question.

Monitor BANKS - REGIONAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

LYG scores higher overall (72/100 vs 68/100), backed by strong 25.0% margins and 14.4% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Lloyds Banking Group PLC ADR

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Lloyds Banking Group plc, offers a range of banking and financial services in the UK and internationally. The company is headquartered in London, the United Kingdom.

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Royal Bank of Canada

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Royal Bank of Canada is a globally diversified financial services company. The company is headquartered in Toronto, Canada.

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